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CZ Foreign-Currency Revaluation (kurzové rozdíly)

Revalues foreign-currency balances at the ČNB rate of the balance-sheet date and books the differences on 563 and 663 — with the OCA wizard on Community and Odoo's adjustment entry on Enterprise.

What it is for

At the balance-sheet date, open receivables and payables in a foreign currency, foreign-currency bank accounts and cash are revalued at the rate of that day; the difference against their book value is an unrealised exchange gain or loss (kurzový rozdíl). The Czech chart books these on 563 Kursové ztráty and 663 Kurzové zisky.

Odoo itself books exchange differences only when a payment is reconciled. Revaluation at the balance-sheet date needs an extra tool, and which one depends on the edition:

Both install themselves when their tool and the Czech chart (l10n_cz) are present. They set the accounts and the journal; the revaluation itself is done by the tool.

Legal background

References are to the Accounting Act unless stated otherwise.

• Assets and liabilities are valued at the moment of the transaction and at the end of the balance-sheet day (§ 24 odst. 2). At the balance-sheet day only the items listed in § 4 odst. 12 are converted — receivables and payables, shares, securities, derivatives, valuables and foreign currencies, if expressed in a foreign currency (§ 24c odst. 1 písm. b)).
• The conversion uses the general rate (obecný kurz): the rate the central bank of the accounting currency declares for the day, i.e. the ČNB rate for a company keeping its books in CZK; the rate declared for the previous day may be used as well (§ 24d odst. 1 and 3).
• A fixed rate (pevný kurz) may be used only for transactions, not at the balance-sheet day (§ 24c odst. 2, § 24d odst. 4).
• The differences go to financial costs or financial revenue; for gradually repaid receivables and payables and for movements on groups 21, 22 and 26 they may be booked at the balance-sheet day only — § 60 odst. 1 and 2 of vyhláška 500/2002 Sb.

Community: the OCA wizard

What the module sets

On every company with the Czech chart — when the chart is loaded, or on install for a company that already has it:

They are in Accounting → Configuration → Settings, section Multicurrency revaluation, together with Auto Post Created Entries (off: the entries are created as drafts).

Before the first revaluation

1. Give yourself access. The OCA menus are visible only to members of the group Additional provisioning entries posting (Zaúčtování dodatečných rezervních zápisů), which nobody has by default. Add it on the user in Settings → Users, section Extra Rights, which appears in developer mode.
2. Choose the accounts to revalue. Tick Allow Currency Revaluation on each account whose foreign-currency balance is to be revalued: the foreign-currency bank and cash accounts (22x, 21x), receivables (311) and payables (321), and others your accountant names. Leave it off on accounts that are not revalued, such as advances paid and received, whatever your internal rules exclude.
3. Load the rates. The ČNB rate for the revaluation date must be in Odoo, for example through currency_rate_update_cz.

Running the revaluation

Accounting → Accounting → Closing → Currency Revaluation (in Czech Uzávěrka → Přecenění měny):

1. Enter the Revaluation Date (the balance-sheet date). Clear Start Revaluation Period or set it early enough: only journal items dated on or after it are revalued, and it defaults to the first day of the current month, which at year-end would leave out every open item from earlier months. Check the journal and the Entry description pattern.
2. Check the list of accounts: it starts with every account flagged Allow Currency Revaluation, and you can remove or add accounts for this run.
3. Click Validate. For receivable and payable accounts one entry is created per account, currency and partner; for other accounts one per account and currency. Losses go to 563000, gains to 663000.

The Currency Revaluation Report under Accounting → Reporting → Closing Entries lists the unrealised differences. Reverse Currency Revaluation, in the same Closing menu, reverses revaluation entries of a chosen interval as of a date you set — whether to reverse at the start of the next period is your accountant's choice.

Companies on a fixed monthly rate

A company that books its documents at a fixed monthly rate keeps that rate in Odoo's ordinary rate table, and the balance-sheet day still requires the general rate of the day (see above). When currency_rate_update_cz keeps ČNB's actual daily rates beside the fixed one, this module makes the revaluation wizard read the actual rate of the revaluation date (or the latest one before it). A company on daily rates keeps no separate actual rates, and nothing changes for it.

Enterprise: the adjustment entry

l10n_cz_currency_revaluation_ee (delivered separately) installs itself with Odoo Enterprise accounting and sets, on every Czech company:

On install both accounts are overwritten, whatever was set before.

To revalue: Accounting → Review → Regularization Entries → Unrealized Currencies opens the report (Nezrealizované kurzovní rozdíly). Set its date to the balance-sheet date and click Adjustment Entry (Zadání úpravy). The wizard proposes the entry: each foreign-currency account is adjusted, and the counterpart goes to 563000 for a loss or 663000 for a gain. A Reversal Date is required: Enterprise always posts the reversal of the adjustment on that date, typically the first day of the next period.

Odoo's Czech translation of the two account fields reads Účet zajišťování výdajů and Účet poskytování příjmů; these are the expense and income provision accounts above.

Limitations

• The modules set accounts and a journal only. On Community nothing is revalued until accounts are flagged Allow Currency Revaluation, and the menus stay hidden until a user is given the group mentioned above.
• The Enterprise report proposes every foreign-currency account. Exclude the ones that are not revalued in the report itself (they move under Excluded Accounts; Odoo remembers the choice per account and currency).
• Enterprise always reverses the adjustment on the reversal date; there is no option to keep it.
• Start Revaluation Period defaults to the first day of the current month and silently limits the revaluation to items dated from then on.
• Neither module checks which accounts are revalued: that, and whether advances or other items are excluded, is decided by your accountant.
• The hook creates the journal KURZ on every Czech company that has no revaluation journal set, whether or not it uses foreign currencies.